Loan for university students and doctoral thesis researchers with financial support by the State

Advantages

Lending to university (BA/MA) students and doctoral thesis (PhD) researchers for the entire or part of their period of study, in accordance with the curriculum
For payment of the tuition fees or for subsistence
Certainty upon a fixed interest rate for the entire loan period
Long grace period, during which no payment on loan principal and interest is due
Repayment in installments after completion of studies

Currency	Bulgarian leva (BGN)
Repayment term	10 years after grace period expiry
Annual interest rate on the standard loan	6.25% fixed interest rate for the entire loan period

Example

Annual Percentage Rate (APR) 6.43 % upon a loan of BGN 4 800, grace period of 62 months, repayment period of 120 months and a fixed interest rate of 6.25%. Repayment in 120 monthly installments after expiry of the grace period, each amounting to BGN 66.43. Total amount due BGN 7971.07. Upon the calculation of the APR on the loan it has been assumed that the interest does not change as compared to its initial amount and will be applicable until expiry of the agreement period, the loan has been utilized immediately and in full amount, as well as that the loan agreement is valid over the period, for which it has been concluded and the loan is being repaid in the indicated manner.

Parameters

Annual interest rate on the standard loan	6.25% fixed interest rate for the entire loan period The interest is being accrued on the drawn down part of the loan. The accrued interest during the grace period is being capitalized on an annual basis.
Repayment term	10 years after grace period expiry
Grace period	As from the conclusion of the loan agreement until expiry of one year since the first date of holding the last state exam or diploma thesis presentation as per the curriculum, respectively the date, on which the doctoral thesis research period expires.
Amount	Loan for payment of semester tuition fees – the loan amount is being formed based on the due tuition fees for the Borrower’s remaining period of study as at the moment of signing the loan agreement, as per the curriculum of the respective major and level of education and qualification or educational and scientific degree. Loan for subsistence – the loan amount is being formed as a sum total of the semester subsistence amounts for the Borrower’s remaining period of study as at the moment of signing the loan agreement, as per the curriculum of the respective major and level of education and qualification or educational and scientific degree. The semester subsistence amount equals the minimum salary for Bulgaria, multiplied by the number of months of the respective semester.
Drawdown	Loan for payment of semester tuition fees - through fund transfers to a bank account of the respective higher education institution or scientific organization. The drawdown deadlines are being determined in accordance with the tuition payment deadlines, as determined by the educational institution /scientific organization. The loan is disbursed in tranches. The number of tranches is in accordance with the number of tuition fees. Loan for subsistence - through fund transfers to a current account of the university student /doctoral thesis researcher with UBB, during the first month of every semester. The loan is disbursed in tranches, each tranche amounting to the semester subsistence.
Collateral	No collateral
Fees	No fees and commissions, related to the loan disbursement and administration
Repayment	After expiry of the grace period the loan is to be repaid in equal monthly annuity installments, comprising principal and interest, including the interest, capitalized during the grace period.
Early repayment	No restrictions or fees
Borrowers	The student loan is intended for financing of university (BA/MA) students and doctoral thesis (PhD) researchers, who simultaneously meet the following criteria: Bulgarian citizens, citizens of another EU members state, of another country from the European Economic Area or of the Swiss Confederation; have not turned 35 years of age as at the loan application submission date; who study as full time students for completing a Bachelor’s level of education or qualification (academic Bachelor’s Degree or professional Bachelor’s Degree) or a Master’s level, or of a Doctor’s educational and scientific degree at a lawfully established state-owned or private higher education institution, or a scientific organization in the Republic of Bulgaria; have not acquired an identical level of education or qualification or an identical educational and scientific degree; have not been dismissed or have not interrupted their studies, except for cases, explicitly stated in the Lending to University Students and Doctoral Thesis Researchers Act. In the cases when the university student studies simultaneously two majors under one and the same level of education or qualification, he/she may choose to obtain a loan for only one of those. The loan for subsistence is being provided upon childbirth or full adoption of a child during the period of studies and may be used by only the parent, exercising parental rights, while should it be valid for both parents– by only one of those. The university student or the doctoral thesis researcher should have no other credit liabilities, which he/she has failed to repay for more than 6 months.

Required documents

Loan Application (as per a sample format of the Bank);
Identity Document
Document, issued by the higher education institution/ scientific organization, certifying the university student’s/ doctoral thesis researcher’s entitlement to enroll for the next semester.

Upon a loan for child maintenance, the following documents should be additionally provided:

Copy of the child’s birth certificate, where the university student of the doctoral thesis researcher is stated as parent (respectively copy of an enforceable court ruling, granting the request for adoption and stating the university student /doctoral thesis researcher as adopter).
A document, issued by a higher education institution or a scientific organization, in evidence that in the year of giving birth /adopting a child the Borrower was a university student / doctoral thesis researcher;

United Bulgarian Bank AD provides loans to BA/MA students and doctoral thesis (PhD) researchers with financial support by the State, in accordance with the terms and conditions of the Lending to University Students and Doctoral Thesis Researchers Act and by virtue of a concluded standard agreement between UBB AD and the Ministry of Education and Science.